My husband had a student loan that we thought had gotten consolidated with mine in 2005. Our address also had not gotten changed with our move over 18 mos ago, even though I distinctly remember us changing it over the phone with Direct Loans. As a consequence, the first letter we got on his loan was the one from CBE Group saying it was now in default.
I did some reading on here, explained the concept of rehabbing to my husband and he called them last week. The rep refused to do any sort of rehab agreement until we make a payment of $100 over the phone. This is ringing all sorts of alarm bells for me. Luckily I told him not to do anything until we discussed it first, so he has the rep's phone number.
What wording should we be asking for in the settlement paperwork? Have any of you heard of a collection agency trying to collect money before any agreement is signed when rehabbing is mentioned up-front? Well I'm sure its happened, but I'd like to find any previous cases of this happening. Is there a guide on here with rehabbing tips? If there are any good threads I'm missing, please point me towards the URL.
Our goal is to get this $5k rehabbed and then either pay it off if we have the money or reconsolidate it into my loans if I won't take too huge of an interest penalty overall.
Full Version: Rehabbing with CBE Group?
QUOTE(credit1234 @ Jul 15 2007, 03:34 PM) 
My husband had a student loan that we thought had gotten consolidated with mine in 2005. Our address also had not gotten changed with our move over 18 mos ago, even though I distinctly remember us changing it over the phone with Direct Loans. As a consequence, the first letter we got on his loan was the one from CBE Group saying it was now in default.
I did some reading on here, explained the concept of rehabbing to my husband and he called them last week. The rep refused to do any sort of rehab agreement until we make a payment of $100 over the phone. This is ringing all sorts of alarm bells for me. Luckily I told him not to do anything until we discussed it first, so he has the rep's phone number.
What wording should we be asking for in the settlement paperwork?
Settlement?? I thought you were rehabbing. Either way, you have no say or choice in the wording of any paperwork. Some do not offer rehab paperwork period. I know the agency I work for had to rehab agreement since it basically means nothing. All the rules of rehab are governed under the HEA.
Have any of you heard of a collection agency trying to collect money before any agreement is signed when rehabbing is mentioned up-front?
Actually you have an agreement with your guarantor who the CA works for....you agreed to pay the account off in full on demand. It is part of the promisorry note.
A rehab requires 9 on time monthly payments. After you complete the required payments you are sent the offical rehab paperwork and your loan in then sold or transfered to a lender. The negative tradeline from your guarantor is reverted to show as current. However your original lender is under no obligation to change your negative tradeline.
Well I'm sure its happened, but I'd like to find any previous cases of this happening. Is there a guide on here with rehabbing tips? If there are any good threads I'm missing, please point me towards the URL.
Our goal is to get this $5k rehabbed and then either pay it off if we have the money or reconsolidate it into my loans if I won't take too huge of an interest penalty overall.
If this is your husbands loan, you cannot consolidate it into your loan. Spousal consolidations no longer exist as of July 1 2006.
I did some reading on here, explained the concept of rehabbing to my husband and he called them last week. The rep refused to do any sort of rehab agreement until we make a payment of $100 over the phone. This is ringing all sorts of alarm bells for me. Luckily I told him not to do anything until we discussed it first, so he has the rep's phone number.
What wording should we be asking for in the settlement paperwork?
Settlement?? I thought you were rehabbing. Either way, you have no say or choice in the wording of any paperwork. Some do not offer rehab paperwork period. I know the agency I work for had to rehab agreement since it basically means nothing. All the rules of rehab are governed under the HEA.
Have any of you heard of a collection agency trying to collect money before any agreement is signed when rehabbing is mentioned up-front?
Actually you have an agreement with your guarantor who the CA works for....you agreed to pay the account off in full on demand. It is part of the promisorry note.
A rehab requires 9 on time monthly payments. After you complete the required payments you are sent the offical rehab paperwork and your loan in then sold or transfered to a lender. The negative tradeline from your guarantor is reverted to show as current. However your original lender is under no obligation to change your negative tradeline.
Well I'm sure its happened, but I'd like to find any previous cases of this happening. Is there a guide on here with rehabbing tips? If there are any good threads I'm missing, please point me towards the URL.
Our goal is to get this $5k rehabbed and then either pay it off if we have the money or reconsolidate it into my loans if I won't take too huge of an interest penalty overall.
If this is your husbands loan, you cannot consolidate it into your loan. Spousal consolidations no longer exist as of July 1 2006.
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